NEWS

5 things to know about Tennessee's sales tax holiday

Duane W. Gang
dgang@tennessean.com

Every year, Tennessee has a weekend when it does not collect sales tax on purchases. When is this year's Tennessee Sales Tax Holiday?

The annual event corresponds with back-to-school preparations and takes place the first weekend in August. The sales tax holiday starts Friday, Aug. 1 and runs through Sunday, Aug.3. Specifically, it starts at 12:01 a.m. Friday and ends at 11:59 p.m. Sunday.

Does the holiday apply to everything I might want to purchase?

No. Forget about trying to buy a car this weekend to save on the sales tax. Generally speaking, the holiday applies to purchases of clothing and school supplies less than $100 in value per item and computers less than $1,500.

OK. But that's pretty broad. What else do I need to know?

Accessories, such as jewelry, handbags, wallets and watches, are still taxable this weekend. So is sports equipment. Computer-related items such as printers also get taxed.

As for computers themselves, any laptop or desktop over $1,500 gets taxed.

But it can get more complicated. Things like monitors, keyboards and scanners, when sold by themselves and not in conjunction with a computer, get charged sales tax.

Tablet computers, such as iPads, are exempt from sales tax. But video game consoles are not eligible.

Do I have to go to the store or can I buy things over the Internet?

According to the state, Internet sales — as well as sales over the telephone, by email or by mail — are exempt from the sales tax if you make the purchase during the sales tax holiday and the retailer accepts the order during the three-day window.

All the same exemptions apply for Internet purchases.

So before I go shopping, is there a place where I can find out more?

Yes, the Tennessee Department of Revenue has a website with information about the sales tax holiday. The department also maintains an alphabetical list of all exempt and nonexempt items. Go to www.tntaxholiday.com for more information.

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